August inflation rises 11.1% YoY

September 01, 2026 (MLN): The National Consumer Price Index (CPI) increased by 11.1% on a year-on-year basis in August 2026, rising from 9.2% in the previous month and up sharply from 3.1% in August 2025.

On a month-on-month basis, inflation remained unchanged at 1.2% in August 2026, matching the previous month's reading, compared with a decrease of 0.6% in August 2025, data released by the Pakistan Bureau of Statistics (PBS) showed.

 On a 2MFY27 basis, the average CPI stands at 10.17% compared to 3.53% in the same period last year.

Urban CPI inflation rose to 10.4% YoY in August from 8.7% in July, while rural inflation climbed further to 12.2% YoY from 9.9% in June, with both readings standing multiples above their year-ago levels of 3.5% and 2.5%, respectively.

On a monthly basis, urban inflation rose 0.9%, easing slightly from 1.2% in July, while rural inflation rose 1.6%, picking up pace from 1.2% in the previous month.

The Sensitive Price Index (SPI), which tracks essential and fast-moving items, rose 9.5% YoY in August, down from 12.0% in July, though still well above the 2.6% increase recorded a year earlier.

On a monthly basis, SPI inflation rose 0.9%, slowing from 2.4% in July.

Wholesale price pressures picked up, with the Wholesale Price Index (WPI) rising 11.8% YoY, up from 9.4% in July and a sharp reversal from the 1.0% contraction recorded in August 2025.

On a monthly basis, the WPI rose 2.0%, compared with no change in July.

Core inflation measures firmed across the board. Urban non-food non-energy (NFNE) inflation edged up to 8.8% YoY from 8.6% in July, while rural NFNE rose to 8.5% YoY from 8.1% in July.

The 20% weighted trimmed mean also rose, with the urban trimmed mean climbing to 8.9% YoY from 7.5% in July and the rural trimmed mean rising to 9.1% YoY from 8.0% in July.

The August data points to a renewed pickup in annual inflationary pressures after two consecutive months of moderation, with headline, urban, rural, wholesale, and core inflation measures all accelerating on a year-on-year basis, even as monthly price momentum showed a more mixed picture across indices.

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